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Copyright VisionMobile Developer
2014 - v.1.5
Christina Voskoglou
Data & Operations Manager
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
We hope youll enjoy this report and find the insights useful!
If you have any questions or comments or are looking for additional
data, you can get in touch at matos@visionmobile.com. You can also
find an online version of our report at
www.DeveloperEconomics.com/go
The report focuses on eight major themes each comes with its own
infographic:
1. Platform wars go local - Global vs. regional Mindshare
Thank you
Our Regional and Media Partners, who are too many to number here
you know who you are!
Also, the developers and mobile insiders that took the time and
interest to share their experiences with us.
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
KEY TAKEAWAYS
The 7th Developer Economics survey has once again broken all
records, including responses from more than 10,000 app developers
and 137 countries. This State of the Developer Nation report brings
you the most important findings from the survey, showcasing the
latest trends in the platforms, languages and tools that app
developers are using and how much money theyre making. We also
take a deep dive into both enterprise and games developers.
Platform Wars
On a global level, the platform wars are ending with iOS claiming the
majority of the high-end device market and Android winning almost
everywhere else. Windows Phone continues to gain developer
mindshare steadily at 28%, although the users have not followed.
At a local level there are still many countries, including China, India
and most of South America, where the battle for developers and
users continues. Apple needs local developer support for
differentiation at the high end and Windows Phone is attempting to
gain a foothold against Android with first time smartphone buyers at
the low end.
Developer attention is consolidating around fewer platforms. The
average number of platforms a developer targets has fallen from 2.9
to 2.2 over the last 12 months.
BlackBerry 10 is rapidly leaking developer mindshare, down to 11%,
having failed to gain traction with consumers.
Development Languages
HTML5 is the most widely used technology at 42% of developers
with Java, the native language on Android, the next most popular at
38%. However, if we look at the primary languages developers use
when creating their apps, Java takes the top spot at 26% with
Objective-C for iOS in second at 17%.
C# remains popular with 14% of developers using it as their primary
language, suggesting that Microsoft still has an opportunity to be a
major force in mobile development, even if they dont control the
mobile OS layer.
A surprisingly high 47% of iOS developers and 42% of Android
developers are using something other than the native language on
their platforms.
Hybrid apps are the most popular non-native option for building
Android and iOS apps, used by 13% of developers. Hybrid apps are
HTML5 apps with a native wrapper, typically created by tools such
as Cordova.
While 63% of Windows Phone developers are using Microsofts C#,
there are almost as many C# developers on Android and iOS
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
App Revenues
The majority of app businesses are not sustainable at current revenue
levels. 50% of iOS developers and 64% of Android developers are
below the app poverty line of $500 per app per month.
24% of developers interested in making money earn nothing at all. A
further 23% make less than $100 per app per month.
The overall app economy, including all revenue sources not just the
app stores, is still growing but the revenues are highly concentrated.
At the top end of the revenue scale there are just 1.6% of developers
with apps earning more than $500k per month, collectively they earn
multiples of the other 98.4% combined.
Games Developers
Games dominate app store revenues, yet most games developers
struggle. 33% of developers make games but 57% of those games
make less than $500 per month. Experience wins, the more games a
developer has shipped the more likely they are to be financially
successful. However, 70% of games developers have shipped less
than 4 titles.
Games is a multi-platform world with the average games developer
targeting 3 platforms versus 1.75 platforms for non-games
developers.
Multi-platform games benefit from cross-platform game development
tools with Unity by far the most popular, used by 47% of game
developers. The next paid tool, Adobe Air, comes a distant second at
15%.
Enterprise Developers
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
In contrast, Microsoft has been able to gain some traction with lower
cost devices aiming at first-time smartphone buyers with a trusted
brand device, offering a superior overall experience to a comparably
priced Android device. The problem with this low-end device
strategy is that these users dont spend as much on apps and are less
attractive to brand advertisers, which in turn makes them an
unattractive target for developers. With Google having launched the
Android One initiative to provide a quality Android experience in
emerging markets at under $100, Microsofts window of opportunity
here may be closing. They are up against formidable network effects
that make it impossible to win the race with money alone.
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Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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C# and beyond
The next most popular languages in our ranking are C and C++.
These are popular in games development for performance reasons
and there are lots of existing libraries that can be used directly in iOS
projects and with Androids Native Development Kit (NDK). C++ is
also the native language on BlackBerry 10. C and C++ are old
languages and most of the interesting questions have already been
asked and most useful libraries written, so they dont rank as highly
with RedMonk. At the same time, they do show up at the top of the
TIOBE search-based language rankings because they are extremely
widely used in both embedded systems and legacy code bases for
most types of project. As both C and C++ are highly performant but
not very productive languages to work with on complex apps, mobile
developers tend to use them where needed rather than for preference.
Objective-C, as the native language for iOS development, is about as
popular as expected in our study of 10,000+ app developers. By
contrast it only comes 10th in the RedMonk ranking. This is
explained by the weak open source culture around the platform and
the large community on Apples private developer forums. As an
essentially Apple-only language, most of the use of Objective-C is as
a primary language, particularly if we exclude Hobbyists and
Explorers from our ranking so were only looking at full-time
professionals.
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Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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For the loyal few remaining developers that still prioritise BlackBerry
10 you might expect to find the highest levels of investment in native
apps. Instead, we see the lowest level of native app developers at 43%
and the greatest fraction of web developers at 27%. This is partly due
to BlackBerry 10 having first class web apps, which goes some way
towards explaining this. Its also a safety net as building a web app,
even one that uses some native platform APIs, does leave developers
with a fairly portable code base if things dont work out. Java is less
popular as a primary language at only 3% of those that prioritise
BlackBerry 10, yet much more popular amongst those who also
target the platform. Adding an Android runtime is a viable way
to bootstrap an app offering with low cost ports, but it doesnt
buy you any developer loyalty. In this context itll be interesting to
watch the fortunes of the initially successful Amazon Fire OS and
Nokia X platforms as they inevitably diverge further from Googles
version of Android.
Microsoft has far greater developer mindshare in its tooling than its
platform. There are almost as many developers using C# with iOS or
Android as their primary platform via Unity and Xamarin as there
are building native apps for Windows Phone. In the case of Xamarin,
developers have to learn the native UI framework on their target
platform as the tool provides a thin wrapper around the APIs. This
still involves significant investment in the platform, whilst sticking
with a preferred language. There are about twice as many C#
developers primarily targeting iOS versus Android, suggesting that
many of them may be using a cross-platform tool to target just the
one platform. This data suggests that Microsoft should accelerate
their recent moves to embrace the other platforms with their tools as
well products. In the same way that Satya Nadellas new strategy has
Microsofts products embrace other platforms, they can enable
existing C# developers to keep using their technology without
missing out on the obvious scale advantages of the other platforms.
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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developers make something but less than $100 per app per month.
This level of revenue is unlikely to cover the basic costs of a desktop
machine for development, test devices and an account to publish
apps. Those prioritising iOS are significantly less likely to suffer this
fate, with only 35% earning $0-100 versus 49% of Android
developers and an even higher percentage on all other platforms.
Around 35% of the total developer population are part-timers Hobbyists and Explorers that dont need to make any kind of return
on their apps - even so more than half of those are interested in
making some money from their efforts. Less than half of these
revenue-interested part-timers are making $0 per month, so theres a
very large number of full-time professional app developers whose
apps earn nothing. In some cases these are apps that have not
launched yet, or are trying to build a bigger audience before going for
revenue; others have simply failed, lost on the dusty back shelves of
the app stores where no-one ever sees them.
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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group versus 9% of Android-first developers. For comparison a rank100 grossing game on iOS in the US only would expect to make
about $10k per day. Only the top 1.6% of developers make more
than $500k per app per month and some of those earn tens of
millions of dollars every month. Between them they earn multiples of
all the other developers combined. The next 2%, earning between
$100k and $500k collectively make more money than the remaining
96.4%. Less than 4% of developers who earn between $25k and
$100k again make more than everyone earning less than them
combined. Finally just under 5% of developers who earn between
$10k and $25k make almost as much as the 88% of developers
discussed in the sections above. More than 50% of app businesses
are not sustainable at current revenue levels, even if we exclude the
part-time developers that dont need to make any money to continue.
A massive 60-70% may not be sustainable long term, since
developers with in-demand skills will move on to more promising
opportunities.
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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Games generally take over the entire screen of the device and are
unconstrained by the UI conventions of the platform. This makes
games much more portable across platforms than most other apps.
Most games developers take advantage of this, in search of a bigger
audience. The average games developer targets 3 platforms,
Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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per month than the 62% who have only shipped between 1 and 3
titles. Supercell might seem like the exception that proves the rule as
the top grossing games publisher worldwide with only 3 titles.
However, the management and majority of developers at Supercell
have a very long history in mobile games, going back to early Java
ME titles more than a decade ago. They also build far, far more
games than they ship - a luxury of wealthy and well-funded
developers. Moreover, in a world where most developers are priced
out of the main promotional channels by the top free-to-play titles,
having a large collection of games that can cross-promote one
another is an extremely valuable marketing advantage. The mobile
games market is undoubtedly highly competitive. Those that really
want to participate should persevere but rather than continuing to
work at updating and marketing a failed title, our data suggests it
may be better to learn from it and build another one instead.
The data from our survey of 10,000+ app developers shows that
Unreal Engine and Marmalade are the tools associated with the
highest revenues for developers using them. These tools have
typically been used to port games from consoles and other handheld
gaming devices and so its not clear if similar results are achieved on
new development projects.
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Developer Economics | State of the Developer Nation Q3 2014 | VisionMobile | All rights reserved | www.developereconomics.com/go
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Platform preferences
The breakdown of developer segments that target each platform is
determined by how well the platforms help them meet their goals.
Adoption of iOS amongst Explorers and particularly Hobbyists is
limited - this is largely by design on Apples part. Its not possible to
test iOS apps on a real device without signing up for a $99/year
developer program membership. Apples App Store review policies
also actively discourage amateur hour warning of rejection for apps
that are not up to the expected standard. On the other hand, Hunters
are significantly more likely to adopt iOS because of its greater
revenue potential.
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